Nursing bank hangovers, feeding ducks and saving sharks

Banks undergo periodic bouts of financial inebriation, but they never suffer the hangover alone: Major economic slowdowns typically follow their binges. A new requiring them to increase their capital – money available to cushion losses – could do more to enforce fiscal sobriety than any number of post-binge Senate hearings, says the New York Times’ Dealbook.

Speaking of banking and sobriety, 888 banks are on the Federal Deposit Insurance Corp.’s problem bank list. And that’s good, because it rose only by four banks. But it’s also bad because it’s the highest since 1987, says Street Sweep.

On Wall Street, you’re supposed to feed the ducks when they quack – meaning you should shovel out as many initial public offerings as possible when demand is high. Josh Brown notes the ducks are stuffed now, especially after the recent selloff in the Nasdaq.

Can sharks benefit from China’s crackdown on extravagance? Yes, indeed: Business Insider reports that exports of shark fins to the mainland have fallen 90%, indicating a dramatic slowdown in an exceptionally cruel practice.

Jeffrey Balagna got well rewarded for taking the job as chief information officer at Sears, a job that seems to have the same longevity as the drummers in Spinal Tap. He’ll be the third CIO in the past four years. He was offered a base salary of $750K, an $842,500 signing bonus, $1.5 million in restricted stock, another $1.2 million in long-term incentives, a $3,000 a month housing allowance, and an annual bonus of $600K, says Footnoted.